CNG, Electric Cars Attract $700m Investment – FG

[toluwalopesong]

CNG, Electric Cars Attract $700m Investment – FG

The Federal Government has announced that Nigeria's transition to cleaner energy sources, including Compressed Natural Gas (CNG) and electric vehicles, has attracted $700 million in investments. This development aligns with the administration's strategic focus on energy diversification and environmental sustainability.

According to the Minister of State for Petroleum Resources, Heineken Lokpobiri, the investments are directed toward the development of infrastructure for CNG refueling stations, electric vehicle charging points, and vehicle conversion centers. These facilities aim to support the adoption of cleaner transportation options across the country.

The government's efforts include incentives to encourage private sector participation and ensure affordability for end-users. Lokpobiri highlighted that the investments will create jobs, reduce the cost of transportation, and significantly cut down greenhouse gas emissions, contributing to Nigeria's climate goals.

The private sector has shown strong interest in the initiative, with several local and international companies already committing resources to develop the necessary infrastructure. The government is also collaborating with financial institutions to provide loans and grants to individuals and businesses willing to transition to CNG and electric vehicles.

To further encourage adoption, the government is working on policies that will reduce import duties on electric vehicles and CNG kits. Additionally, plans are underway to convert public transport fleets to CNG and electric systems, a move expected to lower operating costs for transport operators and provide economic relief to commuters.

Stakeholders in the energy and automotive sectors have applauded the initiative, emphasizing its potential to transform Nigeria's transportation landscape. However, they also called for robust implementation strategies, including widespread public awareness campaigns and technical training programs to ensure the success of the transition.

The $700 million investment underscores Nigeria's commitment to embracing global energy trends and reducing its carbon footprint. With the proper execution, this initiative is poised to position the country as a leader in Africa's clean energy revolution.